Cross-border Investment:

Transcription

1 Workshop INV11C18 Cross-border Investment: potentials, achievements, and challenges 14:30 17:00 11 October 2016

2 14:30 Introduction Chair Raffaele CATTANEO, President of the LombardiaRegional Council, President of the COTER Commission of the European Committee of the Regions Moderator Jean PEYRONY, Director General, Mission Opérationnelle Transfrontalière(MOT) 14:45 Financial planning and governance of crossborder projects: what specificities? The expansion of the Strasbourg tramway to Kehl Investment potential in developing transports in Gorizia Programme Top Technology Cluster, cross-border economic development and innovation Investment in cross-border areas: What national policies? What financial tools? Caisse des Dépôts(FR) What European policies? EIB and European Commission DG REGIO 15:45 Debate with the audience 16:45 Conclusion

3 Chair Raffaele CATTANEO, President of the Lombardia Regional Council, President of the COTER Commission of the European Committee of the Regions

4 Introduction Jean PEYRONY, Director General, Mission Opérationnelle Transfrontalière (MOT)

5 14:30 Introduction Chair Raffaele CATTANEO, President of the LombardiaRegional Council, President of the COTER Commission of the European Committee of the Regions Moderator Jean PEYRONY, Director General, Mission Opérationnelle Transfrontalière(MOT) 14:45 Financial planning and governance of crossborder projects: what specificities? The expansion of the Strasbourg tramway to Kehl Investment potential in developing transports in Gorizia Programme Top Technology Cluster, cross-border economic development and innovation Investment in cross-border areas: What national policies? What financial tools? Caisse des Dépôts(FR) What European policies? EIB and European Commission DG REGIO 15:45 Debate with the audience 16:45 Conclusion

6 The expansion of the Strasbourg tramway to Kehl Cathy GEBHART-LEVY, Project manager, Eurométropole de Strasbourg (FR)

7 The example of the transborder extension of tramline D in Strasbourg Direction de la Mobilité et des Transports Service Conduite de Projets de Transports

8 The Eurometropolis of Strasbourg Since the entry into force of the law for modernization of public territorial action and affirmation of metropolises of 27 January 2014 : 11 metropolises areas created on 1 January 2015 Eurometropolis of Strasbourg 28 communes (316 km²) Strasbourg : Kehl : inhabitants inhabitants inhabitants The Eurodistrict of Strasbourg-Ortenau includes French side: Eurometropolis of Strasbourg German side: Ortenaukreis and the towns of: Offenburg, Lahr, Kehl, Achern and Oberkirch. Key figures km² inhabitants 107 communes 8

9 The tram as a spine to urban projects What does a new line mean : A new symbol of Franco-German friendship A pillar instrumental to restructuring the fragmented territory A prolongation of the Strasbourg network towards Germany A backbone for future urbanization sectors An unprecedented cross-border cooperation on a public transportation project. STARLETTE Economic Hub COOP Cultural, economi c hub for the citizens KEHL Cour des douanes et la caserne Citadelle CITADELLE To live on water and board on Europe RIVES & PORT DU RHIN The landscape of the Rhine & Europe 9

10 General Organization Principles EMS Délégation de maîtrise d'ouvrage Convention for cooperation CTS (MOA déléguée) Town of KEHL Contrat Kehl-CTS France Germany MOE (French side) MOE "conception realisation" (transborder bridge) PLANER (German part) Entreprises Entreprises The Rhine Bridge Entreprises 10

11 Appréciation sommaire du coût du projet (Source : dossier d'enquête publique Mai 2013) 100 En M HT, valeur janvier , ,74 5,46 3,09 6,26 43,85 70,40 Eurometropolis of Strasbourg 5,93 1,34 1,92 17,03 26,22 Kehl 17,67 5,46 4,43 8,18 60,88 TOTAL Related costs* Land tax and Pollution Control Networks Public spaces Infrastructure * rolling stock, project management, various provisions 0 French co-funding expected by the Strasbourg Eurometropolis French State: 10 M Eurodistrict : German co-funding expected by the town of KEHL Land : 6,2 M Bund : 19 M European funding to be shared by the two Communities:Program INTERREG IV 1,25 M (for transnational studies) 2 M (for the works on the bridge) 11

12 The basic difficulties related to the cross-border component of the project The language and the culture: Technical Instruction Meetings Meetings of political approval Understanding of legal studies and reliability The legal contexts: Which is the status for the future Rhine Bridge? The status of the land occupied by a platform / tram Transport Organising Authorities The issue of safety and rail standards The existing international agreements: Fribourg Agreement of 12/06/2011 relating to the construction and maintenance of bridges Rhine Intervention Ministries of Foreign Affairs on the maintenance of transport infrastructure The administrative procedures: Public consultation The public inquiries The project appraisal by the services in charge of railway safety The challenges of project management: Who is the project owner of the cross-border section? Who will be in charge of the maintenance work? Who is the operator of the cross-border section? The financial imbalance: EMS : approximately inhabitants City of Kehl : approximately inhabitants 12

13 Un The Le nouveau projet New Bridge pont de sur Rénovation over le Rhin the Rhine Urbaine Port du Rhin, le plan guide Milestone Schedule of the Rhine Bridge Monday, April 27, 2015 Arrival of the first elements of the bridge by barge from Belgium River navigation is stopped for the of 7am and 9am to allow the unloading of the items on the bank. Monday, July 27, 2015 Arrival of the second part of the bridge December 2015 Implementation of the deck on the bay French side. Implementation of the deck on the bay German side. March 2016 Delivery of the main building structure 24/25 September 2016 Weekend "Conquering the East" A new metropolis around the Rhine, a Franco-German festival The next steps February 2017 Inaugural meeting of the elected representatives on the deck in the presence of European, French and German representatives (project) Crédit : Cyrille Thomas / Marc Barani Architectes April 2017 Commissioning of the line 13

14 Investment potential in developing transports in Gorizia Sandra SODINI, Director of the EGCT Euro-GO (IT-SL)

15 European Grouping of Territorial Cooperation EGTC GO Established by the three municipalities of Gorizia (IT), Nova Gorica (SLO), Šempeter-Vrtojba (SLO)

16 EGTC GO Strategic Plan To launch new economic perspectives in a period of severe crisis thanks to transport & logistic To guarantee basic health services to the population of the tree cities (starting from territorial services in motherhood) To invest in our common natural heritage (Isonzo Soča River)

17 Sandra Sodini EGTC GO Director

18 Top Technology Cluster, exemplary project of economic development and innovation over a cross-border area Ralf MEYER, Head of department Technology Transfer / Business Development Support at AGIT GmbH, Euregio Maas Rhine (BE-NL-DE)

19 Successfulcross-borderinnovationpolicy Ralf P. Meyer, Dipl.-Ing. Head ofbusiness Development Support / Technology Transfer (BDS / TT) at AGIT mbh, Aachen (D)

20 A cross-border innovation value chain SMEs in the driver s seat! TTC GCS

21 Project partner consortium TTC Additionallyin GCS: Liège(B) Limburg Hasselt(B) Vlaams-Brabant Leuven (B) Eupen(B) Twenty-four partners Seven regions One goal!

22 Cross-border innovation projects GCS Eindhove n Eindhove n Hasselt Hasselt Leuven Aache n Leuven Maastricht Maastricht Aachen Liège Eupe n Lièg e Eupen 1 st GCS-call ( ): 8 cross-border R&D-projects 2nd GCS-call ( ): 14 cross-border R&D-projects

23 The added values Innovation vouchers TTC (no.): 21 (incl. 69 partners 81 % SMEs) R&D-applications GCS (no.): 50 (incl. 201 partners) Cross-border R&D-projects GCS (no.): 22 (incl. 87 partners) Preliminary results (after first year): 43 new jobs, 117,5 existing jobs sustained, 8.1 mln. incr. turnover, 52 new markets Return on investment (ROI): 1.4 years ( 4.9 mln. subsidy / 3.4 mln. tax revenues annually) Main outcomes & conclusions: 1. For each 1 funding, nearly 2 are contributed by companies / business partners (leverage effect) with an extremely short ROI time! 2. Not only 22 almost new cross-border business consortia were initiated, but much more new cooperations enabled without funding! 3. A regional cross-border innovation policy is feasible; in the future it should not only be financed primarily via INTERREG, but via better alignment of existing regional innovation programmes!

24 Thank you for your attention! Ralf P. Meyer, Dipl.-Ing., Stadtplaner AK NW Head of Business Development Support / Technology Transfer (BDS / TT) Phone: +49 (0)241 / Mail: r.meyer@agit.de Foto: Peter Braatz / photon-pictures.com

25 Investment in cross-border areas : What national policies? What financial tools? Caisse des Dépôts (FR) What European policies? European Investment Bank European Commission, DG REGIO

26 What national policies? What financial tools? Pierre MENET, Adviser to the Department of Institutional, International and European Relations, Caisse des Dépôts (FR)

27 What European policies? René-Laurent BALLAGUY, Managerial Advisor, Advisory Hub, European Investment Bank (EIB)

28 Cross-border investments, an EIB perspective r René-Laurent BALLAGUY Managerial Advisor at the EIB, Advisory Services tr European Week of Regions and Cities Brussels, 11 October /10/201 6 European Investment Bank Group 28

29 Outline of the presentation What is and what does the EIB Group? Cross-border investments from an EIB perspective Why IPE and EIAH are likely to change the perspective? 20/10/201 6 European Investment Bank Group 29

30 The EIB Group at a glance Largest multilateral lender and borrower in the world (EUR 77.5bn in EUR 7bn for the EIF) A quite simple economic model : We raise funds on the international capital markets We pass on favourable borrowing conditions (due to an AAA rating and a not for profit model) to our clients Some 450 projects each year in over 160 countries and four main sectors: environment, infrastructure, innovation and SMEs Headquartered in Luxembourg and has 36 local offices Around staff: Not only finance professionals, but also engineers, sector economists and socio-environmental experts More than 50 years of experience in financing projects 20/10/201 6 European Investment Bank Group 30

31 EIB Offices within the EU DUBLIN LJUBLJANA 20/10/201 6 European Investment Bank Group 31

32 EIB products and offer We help catalyse investment by LENDING BLENDING ADVISING Loans But also: Guarantees & Equity participation Combining EIB finance with EU budget Project Bond Initiative, IPE Higher risk projects for innovation (InnovFin) Support for projects preparation and implementation Support to enhance the use of EU funds Support to improve access to finance Attracting FUNDING for long-term growth 20/10/201 6 European Investment Bank Group 32

33 A comprehensive offer of advisory services Support for projects and investments Enhance use of EU funds Improve access to finance Advisory and technical support in identification, prioritisation, preparation, structuring and implementation of investment projects Advisory and capacity building support in the implementation of ESIF financial instruments Enhancing financing condition and creating bankable propositions Existing services JASPERS, ELENA, EPEC, Implementation support programmes fi-compass, bilateral services to Managing Authorities InnovFin Advisory

34 Cross-border investments from an EIB perspective (I) (before the Hub was launched in 09/2015) Around 100 cross-border projects financed by the Bank since its creation (mostly major TEN-T projects in the transport or energy sector) Evaluation of 11 cross-border TEN-T projects (2006, available on line): substantial opportunities for the EIB to provide VA, acknowledgement that cross-border projects are prioritised by the Bank, potential JASPERS role at EU-wide level A limited number of global loans (with regional public sector banks) or framework loans (co-financing of INTERREG programmes) Involvement of the Bank in the framework of the macro-regions strategy (e.g. Danube and Baltic) : project preparation support, pilot experiences for a limited period of time Cross-border dimension also captured through Foreign Direct Investment (more than 4600 FDI projects financed by the Bank since 2000, potential tech and know-how transfer beside financial aspects) Since 10 years, advisory instruments have also dealt with cross-border investments, in particular JASPERS (Meuse river), JESSICA (implementation of a Urban Development Plan at Alzette-Belval in Lorraine) 20/10/201 6 European Investment Bank Group 34

35 Cross-border investments from an EIB perspective (II) (what the EIAH may change?) What is the European Investment Advisory Hub? A key component of IPE Main goals Delivery mode First outcomes Examples Main orientations for the near future Why the Hub can make a difference? 20/10/201 6 European Investment Bank Group 35

36 Investment Plan for Europe Investment Plan for Europe Mobilize EUR 315bn of additional financing through the European Fund for Strategic Investments (EFSI) Support investment in the real economy through the European Investment Advisory Hub and the European Investment Project Portal Create an investmentfriendly environment through improvements of the European regulatory environment

37 What is the Advisory Hub? Main goals A joint initiative A tool to strengthen Europe's investment environment and improve the quality of investment projects A single entry point to a comprehensive offer of advisory services An instrument to assess and address unmet needs for advisory support A cooperation platform to foster exchanges of know-how, coordinate support and ensure appropriate delivery (NPIs, Managing Authorities)

38 For whom? What is the Advisory Hub? DEMAND Delivery mode Project promoters Public authorities Member States Private sector What? Web portal + Online contact form + Support team European Investment Advisory Hub (EIAH) Existing advisory programmes and activities Additional advisory and technical assistance EIAH s partner institutions expertise How? Project support throughout the project cycle Support to Financial Instruments Enhance access to finance New investment support also in areas relevant to the scope of EFSI Identification of needs Network of partners Integrated collaboration model SUPPLY

39 First outcomes Situation as at Country Requests by country No. of requests United Kingdom 22 Bulgaria 19 Italy 19 Belgium 18 Spain 17 Romania 14 Hungary 13 Germany 13 France 12 Greece 12 The Netherlands 9 Latvia 8 Austria 8 Luxembourg 8 Czech Republic 7 Cyprus 7 Lithuania 6 Poland 6 Finland 5 Slovenia 4 Croatia 4 Ireland 3 Portugal 3 Malta 2 Slovakia 2 Denmark 2 Sweden 1 Estonia 1 Total 245 *excludes 10 requests from non-eu countries Education 2% Energy 19% Agriculture 5% Health 5% Total of 255 requests 195 project-specific requests Public sector: 59 Private sector: 130 Other (e.g. NGOs): 6 Project-specific requests by sector (Tot. 195) Urban/Ru ral Transport 15% Environment 6% R&D/Innovatio n 9% Other 8% Telecoms & Digital 9% SMEs / start ups 12% *The category other includes project-specific requests in which the sector is not indicated

40 A few examples Renewable Energy projects Following the request from a national government for help with the structuring and financing of several small-scale renewable energy projects, the Hub is providing support to develop the underpinning strategy and to clarify major issues (e.g. a proper demand analysis and cost-benefit analysis). Broadband projects The Hub is looking at various high-speed broadband projects in underserved areas, and is working to help assess/establish an investment and financing model that ensures sustainable implementation, as well as technical support. Ecology programme in the Danube region Request for project implementation/coordination support for a major ecology programme in the Danube region. A consultant will be engaged by the Hub to develop a roadmap prioritising the delivery of a series of critical subprojects/actions and identify possible sources of funding. Transport PPP-project in an EU member state Promoted via the national roads agency, the project relates to a TEN-T axis road. Advisory input focused on technoeconomic review of project documentation as well as support with PPP structuring.

41 Outlook Main orientations for the Hub ( ) Main sectoral and thematic priorities EFSI 1.0: energy efficiency, TEN-T, and urban mobility EFSI 2.0: COP 21-oriented, potential EFSI and cross-border projects Investment platforms and capacity building activities (and cross-border platforms are envisaged) Main strategic orientations Strengthening, expansion and deepening of partnerships with a view to promote a cooperative approach clarify roles and responsibilities, ensure alignment of interest, demonstrate Hub s VA via a pilot phase of deepening on a voluntary basis, define a common reporting structure Consolidating EIAH relevance, additionality and efficiency for a greater impact on the real economy increase visibility, address market asymmetries, streamline management of requests, enhance synergies with EFSI

42 Why and how Advisory Support can make a difference? Cross-border projects are often complex projects which requires specific expertise: beside technical aspects, legal and financing issues Such expertise is exactly what the EIB AS and the EIAH is offering in complement to the skills of projects holders Cross-border projects usually generate important externalities which make them less attractive and inappropriate for EIB business model EIB is not well fitted for small-size projects not immediately bankable, grants remain often the most adapted financing solution Environment, transport and energy projects are probably the most relevant cross-border projects (e.g. flood protection) Importance of political support or mandate (that the Hub now has) 20/10/201 6 European Investment Bank Group 42

43 Would you like to know more? Consult the Hub s advisory offer Request support from the Hub Contact the Hub for more info eiah@eib.org

44 Thank you! 20/10/201 6 European Investment Bank Group 44

45 What European policies? Dirk PETERS, Senior Expert Senior Specialist for European territorial cooperation and EGTC, DG REGIO European Commission

46 Workshop INV11C18 Cross-border Investment: potentials, achievements, and challenges 14:30 17:00 11 October 2016